The Phenomenon of Professional Debt Collectors: Challenges and Responses for Bank Credit Risk Management | Banking and Insurance

Written by / Liu Lerong, General Manager of the Audit Department of Shangrao Bank, and Meng Nilan, Deputy Branch Manager of Baiyang Branch, Hangzhou United Bank

In recent years, the phenomenon of professional debt evaders has become no longer a new issue, with loan risks and even loan fraud cases caused by professional debt evaders occurring from time to time. How to effectively respond to the phenomenon of professional debt evaders is a problem that current banks’ credit risk management needs to pay attention to. This article deeply analyzes the characteristics of the professional debt evader phenomenon and proposes prevention strategies for banks to address the loan risks caused by professional debt evaders.

On July 19, 2025, CCTV’s Focus Interview exposed an incident where a professional debt evader, with the help of illegal loan intermediaries, defrauded three banks of four loans totaling 482k yuan. In fact, the phenomenon of professional debt evaders has occurred frequently in recent years. How to effectively respond to the loan risks caused by professional debt evaders is a key issue for banks’ current credit risk control.

Characteristics of the professional debt evader phenomenon

Common traits of individual professional debt evaders

Professional debt evaders generally refer to individuals who undertake debt to earn rewards. This group typically exhibits the following five characteristics. First, from the perspective of credit records, they have no bad records; only with such a record can they pass basic bank credit checks, which is a fundamental condition for becoming a professional debt evader. Second, regarding the importance placed on credit records, because professional debt evaders lack credit awareness or simply do not care about their credit records, they tend to show a lack of regard for their own credit. Their external appearance often includes being relatively young or older, and being in urgent need of funds but lacking income sources, such as welfare recipients or individuals with serious illnesses. Third, in terms of marital status, to avoid the need for spouse signatures, professional debt evaders usually apply for bank loans as single or divorced individuals. Fourth, regarding asset possession, apart from assets used as collateral for debts owed to banks, they almost have no other enforceable assets. Fifth, geographically, professional debt evaders rarely carry debt locally; they mainly apply for debts at banks in other regions, and the contact addresses and work information they provide are often false, which makes it very difficult for banks to contact them after the incident.

Professional debt evaders are highly correlated with illegal loan intermediaries

Becoming a professional debt evader cannot be separated from the precise positioning and careful planning of illegal loan intermediaries. From the CCTV Focus Interview exposed incident, it is evident that illegal loan intermediaries have a detailed division of labor: some are responsible for finding professional debt evaders, some for forging loan documents, some for handling housing mortgage loans, and others for credit loans, forming a relatively complete black and gray financial industry chain. It is no exaggeration to say that without illegal loan intermediaries, there would be no professional debt evaders. These intermediaries are familiar with the requirements of bank loan products, understand the standards of bank risk control, and are well aware of the pain points and difficulties faced by grassroots bank staff. Many core figures in illegal loan intermediaries are former bank employees, which facilitates their ability to help professional debt evaders obtain bank loans.

Loans obtained by professional debt evaders often show standardized features

Based on recent publicly disclosed information, loans obtained by professional debt evaders tend to have certain standardized characteristics, mainly reflected in four types of standardized loans. First, purely online loans based on the individual’s social security contribution status. Around 2020, many banks launched similar loan products. As a result, illegal loan intermediaries often set up shell companies, using them as platforms to make back payments for a year’s worth of social security contributions on behalf of professional debt evaders to obtain bank loans. Due to the完善 of bank risk control systems, such operations are now rare. Second, non-pure online credit loans, including credit consumption loans and credit business loans. Illegal loan intermediaries forge income proof, bank statements, asset proof, and social security records [Note: There are now apps specifically designed to forge these documents], establish new business licenses or change company shareholders, and sometimes provide false business premises to respond to on-site investigations by bank staff. Such operations are still common. Third, second-hand housing mortgage loans or combined second-hand mortgage and credit loans. Since 2021, as housing prices have fallen, illegal loan intermediaries across the country have targeted second-hand housing mortgage loans, collaborating with real estate agents, and helping professional debt evaders obtain mortgages through high appraisal and high loan strategies, often with the cooperation of property owners. They also connect debt evaders with various credit loans, and this practice is spreading nationwide. Fourth, real estate collateral business loans. Illegal loan intermediaries establish companies or change existing company shareholders under the name of professional debt evaders, use recently transferred properties as collateral, and apply for business loans. Subsequently, they arrange various bank credit loans for the debt evaders, and this method has persisted.

The phenomenon of professional debt evaders is highly related to the formality review of bank loans

Analyzing the phenomenon of professional debt evaders reveals that their methods of obtaining bank loans are not complicated. Essentially, illegal loan intermediaries forge various loan documents required by banks. If applying for operational loans, they seek fake business premises that can pass bank staff’s on-site inspections. They also teach debt evaders how to respond to bank staff’s questions. Besides collusion between illegal intermediaries and bank staff, many banks currently mainly conduct formal reviews, checking whether documents are complete, logical, and genuine, without in-depth verification. Even if on-site visits are conducted, they are often arranged by illegal intermediaries, making it difficult for bank staff to uncover the true situation of the borrowers…